Impact of Corporate Social Responsibility on Brand Image of Rio Tinto, Australia

This research proposal aims to explore the relationship between corporate social responsibility and branding of the organisation. The report will focus on Rio Tinto, Australia and its CSR practices. The report will identify CSR issues and set research questions to meet the objectives. The report will also explore the importance of CSR for the organisation, the impact of CSR on branding and recommend possible solutions.

Running head: RESEARCH PROPOSAL
Research Proposal
Impact of Corporate Social Responsibility on Brand Image of the organisation: Study based on
Rio Tinto, Australia
Student’s name:
Name of the university:
Author’s note:

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Table of Contents
1. Introduction.............................................................................................................................. 2
1.1 Background of research.....................................................................................................2
1.2 Problem statement............................................................................................................. 3
1.3 Research aim..................................................................................................................... 4
1.4 Research objectives...........................................................................................................4
2. Literature review...................................................................................................................... 5
2.1 Concept of corporate social responsibility..........................................................................5
2.2 Theoretical understanding of corporate social responsibility..............................................5
2.3 Concept of the branding of organisations and theoretical understanding of branding........6
2.4 Importance of corporate social responsibility for the organisation......................................7
2.6 Impact of corporate social responsibility on branding.........................................................8
3. Methodology............................................................................................................................ 8
3.1 Process of Investigations...................................................................................................8
3.2 Data collection process......................................................................................................9
3.3 Sampling method............................................................................................................. 10
3.4 Data analysis.................................................................................................................... 10
4. Anticipated findings................................................................................................................ 11
Reference List........................................................................................................................... 12
Appendix.................................................................................................................................... 15

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1. Introduction
Corporate Social Responsibility is an important factor for the organisation in establishing
the reputation and public image. Of late, CSR with non-profit effort has become significant in the
eye of the common people. CSR is the continuing commitment by an organisation to dedicate
not only to profit-making but also the organisation also does something to improve the
community and the environment. This report aims to bring out the relationship between
corporate social responsibility and branding of the organisation. In this report, corporate social
responsibility issue will be identified and research questions will be set in order to meet.
1.1 Background of research
Corporate Social Responsibility has brought the new resonance in the global economy
and this has resulted to call the urge of increasing the transparency as well as corporate
citizenship (Bhattacharya et al. 2017). Consumers purchase products and it reflects the values
of the consumers. Consumers buying behaviour recently shows that the consumers want the
organisations to help change the world. A famous brand is the reflection of the price, quality and
attributes that make the difference. A large organisation can develop the public image through
supporting non-profit causes and by doing the monetary donations or through by strong
partnership (Schwartz 2017). Corporate social responsibility increases the media coverage as it
makes sure about solid relationship bonding with the media. Moreover, CSR helps to the
branding of the organisation as customers observe the social responsibilities and community
engagement programmes done by the organisation.
Overview of Rio Tinto
Rio Tinto is multinational organisation and it is working in the metals and mining industry.
Rio Tinto was established in the year 1873 and it has its headquarters in London and
Melbourne. Rio Tinto is the world leader in extracting the iron ore, copper, bauxite, uranium and

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coal. Rio Tinto recently has engaged itself in the refining process. Revenue of the organisation
touched $40.30 billion and the total equity of the organisation was $44.711 billion in the year
2017 (Riotinto.com 2018). Rio Tinto employs more than 50,000 employees and Rio Tinto is the
dual listed company that has stock in both London and Australian stock exchanges.
1.2 Problem statement
The organisations in recent time are trying to be more transparent by publishing the
Corporate Social Responsibility report each year. The sole aim of the organisations is to publish
the CSR report in order to aware the customers about their responsibilities regarding society,
environment and economic profit. Nielsen survey (2016) stated that more than half of the online
consumers pay more heed to the companies that are environmentally and socially responsible.
Rio Tinto is associated with the mining and metal industry; therefore, this organisation has to
deal with the non-renewable resources. Rio Tinto has been criticised widely for the mining
activities. Mining activities can lead to environmental degradation and it can contribute towards
the global warming (Rull et al. 2017). Therefore, the business environment has been changing
with the rapid development of China and the demand is increasing more than the supply of the
metals. Rio Tinto’s recent extraction of the metals creates the issue nearby communities
regarding environmental damages and leaking harmful gases. Current CSR rating of the
organisation is 54, community (48), employees (57), environment (57) and governance (54)
(Bainton 2017). As stated by Lasslett (2017), Rio Tinto was criticised regarding the unethical
conduct of the business by doing the damage through the mining operation. The news of
stopping the mining operation in the Panguma mine has created several issues in Papua New
Guinea. Rio Tinto decided to walk away from the mining operation in Panguma mine and the
organisation has side-stepped demands for a billion-dollar clean up (Smh.com.au 2018). Rio
Tinto refused to clean up the area and it has made many significant damages to the
environment and the society that lead to the severe consequences. Mining company should not

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leave the place without compensating what they have damaged environmentally and socially as
it can adversely affect the reputation and brand image of the organisation; this incident may
harm to create a win-win situation of the organisation.
Therefore, this report will try to bring out the issues of corporate social responsibility of
Rio Tinto that they have been facing recent time and how it can cause the harm brand value of
the organisation.
1.3 Research aim
The aim of the research is to show the impact of corporate social responsibility on the
branding of the organisations; this research will narrowly focus on Rio Tinto.
1.4 Research objectives
The objectives are:
 To find out the importance of corporate social responsibility of an organisation
 To explain the strategies of the branding of organisations
 To explore the relationship between corporate social responsibilities and branding
 To recommend some possible solutions regarding issues of corporate social
responsibilities and branding
1.5 Research questions
The research questions are:
 What is the importance of corporate social responsibility of an organisation?
 What are the strategies of the branding of organisations?
 What is the relationship between corporate social responsibilities and branding?
 What are the possible solutions regarding issues of corporate social responsibilities and
branding?

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2. Literature review
2.1 Concept of corporate social responsibility
Corporate social responsibility (CSR) is the concept where organisations need to
integrate environmental and social concerns of the business operations as well as the
interactions with the stakeholders of the organisation. As stated by Ruggie (2017), corporate
social responsibility is understood when the companies make strive to achieve the balance
among environmental, economic and social imperatives while the companies need to address
the expectations of the stakeholders and the shareholders. Today’s organisations need to take
CSR in a way that must fit the capacities and needs of the business and it does not adversely
affect the economic viability of the business (Grayson and Hodges 2017). CSR can be taken as
an attempt to align the goal of the organisation towards the sustainable development.
2.2 Theoretical understanding of corporate social responsibility
Triple Bottom Line Theory
Triple Bottom Line method uses in the business to see the objective of the organisation
is not just to make the business for profit-making purposes, but to do the business for benefits of
the society as well as the environment. At first, social sustainability tries to measure the
business profits in capital use of human resources including the local society and community.
The business must not harm the community and the business process must provide benefits to
the corporate community that must impact on the local economy as well. As opined by Carroll
(2015), social responsibility is the business where the company must make a desirable
workplace to operate in the future where the workforce should strive to make the difference. In
addition, environmental sustainability is about doing better for the environment with using fewer
natural resources and using the cost-effective measure of the business. Moreover, economic

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sustainability is about making a profit for the organisation in terms of the business must impact
on the economic development.
CSR pyramid model
CSR pyramid speaks about four responsibilities of the business. In economic purpose,
the business must make it profitable and it is the only way to survive in the market for long time.
In addition, legal responsibility of the business is about making the business to obey the laws
with regulations. In addition, the business must abide by the competition, employment, and
Health and Safety. Moreover, as pointed out by Cheng, Ioannou & Serafeim (2014) ethical
responsibilities of the business are to act ethically and morally in order to be responsible for
business to go beyond from the laws. An organisation needs to treat ethically to employees and
suppliers. Lastly, philanthropic responsibilities of the business are to be responsible to give back
to the society and responsibility is the discretionary and it is important. The organisations use
Carroll’s CSR pyramid to provide social and environmental benefits to the organisation and they
emphasise on making profit.
2.3 Concept of the branding of organisations and theoretical understanding of branding
Brand is the service or products or concept that must have characteristics like symbol or
name to make the company differentiate from the others in the market. Lins, Servaes & Tamayo
(2014), supported this by saying brand can make the products differentiable and identifiable.
Brand can also be defined as the combination of the properties outside or within the products
that give an identity to the products and it makes the products or service separate from others.
In addition, as stated by Leekha, Chhabra & Sharma (2014), brand association is the tangible
products feature like the colour scheme, logo, owners and ambassadors that are associated
with the service or company. Brand attributes are the characteristics of the brand with core
values and these make the brand consistent and relevant in the market (Herstein et al. 2017).

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According to Pai et al. (2015), brand is a concept that is associated with the mind of the
customers and it is the perception of the customers. The first stage of branding is the design
where the companies use colours, logo and slogans. This designing process of branding is
heuristic and it is the short-cut process to let the customers know about the organisation. Value
proposition is the process of what the company offers to the customers. At last, the company
need to offer the positioning statement in order to impact on the perceived value of the
customers.
2.4 Importance of corporate social responsibility for the organisation
Corporate Social Responsibility of the organisation can be taken positive outlook for the
nearby community. CSR activities make able to the organisations to have positive impact on the
community. The minds of the people encourage always making purchase from the organisations
that do various social activities. Today's organisations cannot avoid the detrimental impact of
the organisations on the community and it supports the public value of the outcomes. As stated
by Rezvanpour & Bayat (2017), public value is about the contribution to the society with
philanthropy and volunteerism. CSR supports the employees to both personal and professional
development of the organisation to make the company socially responsible for activities. As
stated by Edinger-Schons et al. (2018), CSR activities attract and retain the investors for the
organisation as the investors may impress with the social activities of the organisations.
Eteokleous, Leonidou & Katsikeas (2016), supported this by saying that the companies can
increase the media coverage by doing social responsibilities and the name of the organisation
will be published on media to gather extra attention. When an organisation shows that it is
dedicated to the communities, it would make the employees more engaged in corporate giving
programmes.

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2.6 Impact of corporate social responsibility on branding
Organisations do branding in order to influence the customers to purchase their products
and use their services. If the brand image of the organisations goes wrong, CSR activities will
help the company to get back the lost brand image of the organisation. The organisations need
to pick up the right partner to manage the all aspects of the CSR programme and the partner
needs to deploy the enthusiasm, energy and resources used for CSR. CSR activities lead the
company towards sustainability and the organisations now publish the CSR report in order to be
more transparent (Carroll 2016). Making the organisation dedicated towards the social and
environment, the organisation plans for the long-term profit of branding. The positive
environment and social responsibilities strike into the mind of the customers and they like to
purchase from the organisations that are socially responsible. The organisations trust those
brands and they see value in the brands those do CSR activities. Therefore, CSR activities are
like the promotions of the brands and CSR acts as the counter of unethical behaviour of the
companies (Matten & Moon 2014). CSR provides value to the organisations in long-term as
companies may face financial losses at first; however, CSR will lead to benefit towards
branding.
3. Methodology
3.1 Process of Investigations
Research philosophy is the concept of collecting, analysing and gathering of data about
a phenomenon. In this research, I am going to select the positivism philosophy. Positivism
philosophy can help me to collect the data in a scientific way and positivism philosophy mainly
helps me to collect the factual data. As stated by Taylor, Bogdan. & DeVault (2015), Positivism
philosophy assists to collect both quantitative and qualitative data and this data collection
process is highly structured.

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In addition, research approach is the procedure and plan consisting the steps about a
detailed method to collect the data for the research. In this research, I am going to collect the
data using deductive research approach. Deductive research approach will help me to collect
the CSR based data from the respondents and deductive research approach starts with the
theories. There are large amount of CSR and brand image theories are present and I will collect
the information about CSR. I will try to develop the concept taking help of the deductive
approach.
Systematic way of collecting data is called research design and there are mainly their
types of research design. I shall select the descriptive research design in order to collect the
data. Descriptive research design will provide me help to describe the feature of the population
being studied.
3.2 Data collection process
In this research, I am going to collect both primary and secondary data. In order to
collect the primary data, I will conduct a survey and I will prepare a set of 15 close-ended MCQ
type questionnaire. This questionnaire will consist of two set of questions, demographic and
subjective. Each of the questions will have four options and some of the subjective questions
will be prepared using Likert Scale. I will prepare the questions using the Google Survey form as
it will be easy to send the Google survey form to the respondents. As stated by Flick (2015),
primary data are relevant and original as these data provide a high degree of accuracy.
In order to collect the secondary data, the researcher will collect the data through books,
online articles, journals, websites, organisational CSR report and government report.
3.3 Sampling method
The sample population of the research will be senior level employees of Rio Tinto who
work in Australian office. I have already sent a consent form to Rio Tinto Australia office to for

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asking permission. Size of sample population will be 360. I am thinking to collect the data from
four of the departments, Sales and Marketing, HR, Operations and Accounting. Among the
sample population, only 80 employees will be used as the sample size. I will also collect the e-
mail IDs and names of the employees. Then, I will send the questionnaire to the employees
through e-mail. I will ask the employees to revert to 15 days. I will use Simple Random
Sampling technique in order to generate the correct sample for this research.
Sample
population
Sample size Percentage of
sample
population in
sample size
Sampling
technique
Sampling frame
360 senior
employees of
Rio Tinto
80 22.22% Simple random
sampling
E-mail and soft
copy
Table 1: Sampling of survey
(Source: Self-developed)
3.4 Data analysis
In this research, I will use the quantitative data analysis technique in order to analyse the
survey data. Quantitative data solely deals with numerical data. I will analyse the data collected
from the survey through the quantitative process (Silverman 2016). I will use tables to show the
collected data. I will also use Excel to make graphs and pie-charts to show the collected data
visually.

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4. Anticipated findings
This social responsibility of the organisation makes the organisation more ‘close’ to the
customers. Mining methods also lead to the cutting of trees and the organisation is removing the
non-renewable resources that are stored inside the earth. Rio Tinto extracts metals and the
organisation is criticised for delivering the uranium for the nuclear technology and environmental
damages. The research is expected to find out the loopholes of Rio Tinto about doing social
responsibilities. CSR helps to get the branding of the organisation as CSR is the now strategic
business management concept where the management is using the philanthropy, sponsorships
and charity of the organisation. Brand equity means to value the customers assign to the brand
based on the perception of the quality, price and products attributes. The corporate social
responsibility of the organisation can improve the public image and it can aware the customers
about the good public image. Brand identity comes from the brand image as it completely the
customers' point of view and the organisation tries to make brand personality through taking
social responsibility.

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Reference List
Bainton, N.A., 2017. State Crime on the Margins of Empire: Rio Tinto, the War on Bougainville
and Resistance to Mining. By Kristian Lasslett. Pacific Affairs, 90(2), pp.426-428.
Bhattacharya, C.B., Korschun, D., Sen, S. & Routledge, H., 2017. Corporate social
responsibility. Journal of International Law, 26(2), pp.12-16.
Carroll, A.B., 2015. Corporate social responsibility. Organizational dynamics, 44(2), pp.87-96.
Carroll, A.B., 2016. The pyramid of corporate social responsibility: Toward the moral
management of organizational stakeholders. Business Horizons, 34(4), pp.39-48.
Cheng, B., Ioannou, I. & Serafeim, G., 2014. Corporate social responsibility and access to
finance. Strategic Management Journal, 35(1), pp.1-23.
Edinger-Schons, L.M., Lengler-Graiff, L., Scheidler, S. & Wieseke, J., 2018. Frontline
employees as corporate social responsibility (CSR) ambassadors: A quasi-field
experiment. Journal of business ethics, pp.1-15.
Eteokleous, P.P., Leonidou, L.C. & Katsikeas, C.S., 2016. Corporate social responsibility in
international marketing: review, assessment, and future research. International Marketing
Review, 33(4), pp.580-624.
Flick, U., 2015. Introducing research methodology: A beginner's guide to doing a research
project. London: Sage.
Grayson, D. and Hodges, A., 2017. Corporate social opportunity!: Seven steps to make
corporate social responsibility work for your business. Abingdon: Routledge.

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Herstein, R., Drori, N., Berger, R. & Barnes, B.R., 2017. Exploring the gap between policy and
practice in private branding strategy management in an emerging market. International
Marketing Review, 34(4), pp.559-578.
Lasslett, K., 2014. State crime on the margins of empire: Rio Tinto, the war on Bougainville and
resistance to mining. Pluto Press.
Leekha Chhabra, N. & Sharma, S., 2014. Employer branding: strategy for improving employer
attractiveness. International Journal of Organizational Analysis, 22(1), pp.48-60.
Leekha Chhabra, N. & Sharma, S., 2014. Employer branding: strategy for improving employer
attractiveness. International Journal of Organizational Analysis, 22(1), pp.48-60.
Lewis, S., 2015. Qualitative inquiry and research design: Choosing among five
approaches. Health promotion practice, 16(4), pp.473-475.
Lins, K.V., Servaes, H. & Tamayo, A., 2017. Social capital, trust, and firm performance: The
value of corporate social responsibility during the financial crisis. The Journal of Finance, 72(4),
pp.1785-1824.
Matten, D. & Moon, J., 2014. “Implicit” and “explicit” CSR: A conceptual framework for a
comparative understanding of corporate social responsibility. Academy of management
Review, 33(2), pp.404-424.
Pai, D.C., Lai, C.S., Chiu, C.J. & Yang, C.F., 2015. Corporate social responsibility and brand
advocacy in business-to-business market: The mediated moderating effect of
attribution. Journal of Business Ethics, 126(4), pp.685-696.
Rezvanpour, N. & Bayat, A., 2017. Determining effective urban design factors within the
branding strategy due to brand city spaces and evaluating city spaces by comparing them to the

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presented factors. A case study of ChaharBagh Avn, Isfahan, Iran. Energy Procedia, 115, pp.6-
17.
Ruggie, J.G., 2017. The theory and practice of learning networks: Corporate social responsibility
and the Global Compact. In Learning To Talk, pp. 32-42.
Rull, F., Guerrero, J., Venegas, G., Gázquez, F. & Medina, J., 2014. Spectroscopic Raman
study of sulphate precipitation sequence in Rio Tinto mining district (SW Spain). Environmental
Science and Pollution Research, 21(11), pp.6783-6792.
Schwartz, M.S., 2017. Corporate social responsibility. Abingdon: Routledge.
Silverman, D. ed., 2016. Qualitative research. London: Sage.
Taylor, S.J., Bogdan, R. and DeVault, M., 2015. Introduction to qualitative research methods: A
guidebook and resource. New Jersey: John Wiley & Sons.

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Appendix
INFORMED CONSENT FORM FOR RESPONDENTS
PROJECT TITLE: Impact of Corporate Social Responsibility on branding: study based on Rio
Tinto Australia
PROJECT SUMMARY:
This research is to know the insight of corporate social responsibilities that your organisation
does for the betterment of society and environment. I am doing the survey to collect the data
regarding the influence of CSR on the branding process of the organisation.
By signing below, you are agreeing that: (1) you have read and understood the Participant
Information Sheet, (2) questions about your participation in this study have been answered
satisfactorily, (3) you are aware of the potential risks (if any), and (4) you are taking part in this
research study voluntarily (without coercion).
_________________________________ _________________________________
Participant’s signature Participant’s Name (Printed)
_______________________________ _________________________________
Student Name (Printed) Student Name signature
_________________________________